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Tag: customs

  • Customs urged to adopt duty benchmark for used vehicles

    THE Nigeria Shippers Council (NSC) has advocated that the Nigeria Customs Service (NSS), Nigerian Ports Authority (NPA) as well as Nigerian Maritime Administration and Safety Agency (NIMASA), among others, should publish their charge and display it on their portals to ensure transparency at the ports.

    Besides, it will help the Federal Government to block revenue leakage and make them the  leading ports in West and Central Africa.

    The others are terminal operators, clearing agents and cargo handling firms.

    Speaking when officials of Crown Agents, officials of NPA and a consulting firm Crown Agents visited him in his office, NSC Executive Secretary, Mr Hassan Bello said, no one could predict what importers would pay when they bring goods to the ports. He urged the government to address the problem to improve service delivery and generate more revenue.

    The ports, he said, were competing with others in the sub-region, fueling the need to make all charges public.

    Bello asked management NPA  to design a plan for a model terminal to promote competition, boost efficiency and make the ports attractive.

    He noted that in the last 10 years, the NPA operated the landlord model of port operation without the much-needed competition among private operators.

    “Nigeria loses cargoes to ports of neighbouring countries because many importers don’t know the actual amount they are going to pay when they bring their goods to the ports.

    “The era of imposing arbitrary charges that have often been described by importers, exporters and clearing agents as uncharitable will end if all the agencies and the operators are mandated by the Federal Government to make their charges public.

    “NPA, as the landlord must check excessive charges against importers to reduce prices of imported goods and make the ports competitive and attractive for business,” a source said.

    The source quoted  Bello as saying that the ports must be efficient. “He wants all agencies operating in the ports which include the NPA, the was  Plant Quarantine, NIMASA, and others to up their game,” the source added.

    It was gathered that the meeting resolved that  the Comptroller-General of Customs, Col. Hameed Ali (rtd) must curb the excesses of his men and ensure the adoption of a duty benchmark on fairly used vehicles, Tokunbo.

    “For years, the Customs has operated without a benchmark for used vehicles. The agency fixes duty at will, depending on who is importing.

    “Some officers are exploiting the absence of a clear cut policy on benchmark to extort importers and their agents despite Ali’s warnings against corruption.

    “For selfish reasons, some Customs officers are also working against making the ports attractive for business. Therefore, the Federal Government need to design anti-corruption policies that will stem the loss of cargoes from Nigeria to neighbouring countries.

    “The absence of a benchmark has created opportunities for Customs officials to take bribes from importers and their clearing agents.

    “Despite the age limit imposed on imported Tokunbo vehicles, it is sad that no Nigerian bringing any type of the approved vehicle into the country knows the actual amount he or she is going to pay as Customs duty.

    “But the situation is not so in our neighbouring ports. At Apapa and Tin-Can ports, direct interaction between clearing agents and Customs officials is on the high side since most clearing documentation on used vehicles are not processed online,” the source said.

    Clearance documentations, according to the source, are submitted physically.

    The source continued:”This high level of corruption in our ports will affect the efforts of the current management of NPA to reposition the ports for better efficiency and the hub in the sub-region. Corrupt practices are also jeopardising the ability of the NSC to secure commercial opportunities in cargo transport to nearby landlocked countries.

    “Despite the successful ports concession programme, the concession benefit is hampered by corruption, poor infrastructure and the high cost of doing business.”

    The source blamed  the ports’ bureaucracy for the problem, saying: “The bribery takes two forms: Collusive corruption, where the clearing agents and Customs officials benefit from an illicit deal, such as paying to evade duty, and coercive bribery or extortion, which benefit only corrupt Customs official.”

  • Customs impounds bullion van loaded with rice

    Customs impounds bullion van loaded with rice

    The Oyo/Osun Command of the Nigeria Customs Service (NCS) yesterday said it impounded a bullion van belonging to a first generation bank used in concealing imported smuggled rice at Saki, Oyo State.
    It made some seizures, which included 30 fairly used vehicles within the command.
    Customs Area Controller Tolutope Ogunkua said two persons were arrested and will be charged to court.
    Ogunkua said it was worrisome that some Nigerians remained unrepentant even as they continue to lose their money to smuggling.
    He added that the command had been on the lookout for the bullion van which usually goes with police escort.
    Ogunkua said: “Our surveillance team had an exchange of gun fire with the suspects, who were later apprehended.
    “You will recall that I had reiterated our resolve to increase the revenue profile of the command and to reduce smuggling.
    “In keeping to this promise, the command initiated new anti-smuggling strategies leading to remarkable exploits today.”

  • Customs killing: I hope government‘ll punish my husband’s killers, by expectant widow

    Customs killing: I hope government‘ll punish my husband’s killers, by expectant widow

    •…Debunks smuggling allegations against deceased, relative

    Deceased’s automobile graduation fixed for January

    The widow of Saheed Omotosho, an automobile technician killed by a stray bullet fired by Customs men, who were on the trail of rice smugglers at Alagbado on Lagos-Abeokuta Expressway 14 days ago has called on government to bring the officers involved to book.

    Temitope, a 21-year-old expectant mum, could not hold back tears as she managed to speak with The Nation.

    She was more pained that the officers arrested his deceased’s husband’s relative, Rasheed Oyedeji to cover up their “heinous crime.”

    The Nigeria Customs Service (NCS) last Tuesday arraigned Oyedeji and Shuaib Sheyi before Chief Magistrate Y.A. Aje-Afunwa of the Magistrates’ Court, Ikeja, Lagos on a nine-count charge of smuggling prohibited items.

    The suspects have been remanded in Ikoyi Prisons.

    On the same day, the Committee for the Defence of Human Rights (CDHR) protested at the Lagos State House of Assembly, calling for thorough investigation and prosecution of Customs officers involved in the killing of Omotosho.

    Mrs Omotosho described the Customs’ action as “sheer wickedness.”

    She said her husband left for work in the morning only to be called by their landlord that the deceased had an accident.

    She said: “We were in the room together that morning before he left. He said he was to going to work. Not long after, someone called our landlord, informing him that my husband had an accident and was shot. That was what I heard and I took off to the scene. By the time I got there, I didn’t see him. He had been taken away. I feel so sad that I cannot explain how painful it is. He is a very kind person. Saheed is not a person that quarrels or fights people; So I don’t think that kind of fate could befall him.”

    Temitope, a fashion designing apprentice, wondered what future had for her three-month-old foetus.

    She pleaded with the government to mete appropriate justice on the officers who truncated her husband’s life.

    “I just know God will help me cope with my pregnancy and I hope that the government will punish the killers of my husband accordingly and if they don’t, God will do it.”

    Saheed’s elder brother, Wasiu Omotosho told The Nation that his parent have been in pains since the unfortunate incident.

    He said the family were planning his (Saheed’s) graduation for an automobile engineering training he concluded weeks before he died.

    He said: “I was in Ibadan when he died. I couldn’t believe the news until I called his friend who confirmed it. We were preparing for his freedom when it happened. “During Ileya festival, he didn’t want to go home but he had to in order to inform our father of his freedom. In fact, my dad wanted to come to Lagos to see his boss on the requirements but Saheed told Baba to wait till he could raise enough money to sponsor his transport fare. The graduation ought to hold by January ending. The government should not let him die just like that by punishing the perpetrators. He was not a smuggler or hoodlum. He only has a motorcycle he works with to raise money for his graduation. How can you just spray bullets at a junction where a lot of people gathered?” he wondered.

    Oyedeji’s relatives and colleagues have debunked smuggling and hooliganism allegation levelled against him by the customs authority.

    They described Customs’ action as utterly unjust and flagrant display of insensitivity to human life.

    According to Solomon Ayansola, Oyedeji was intentionally branded a smuggler to justify the Customs’ unruly operation.

    “It is a double jeopardy to lose Saheed and also accused Oyedeji of involving in smuggling and hooliganism,” he said.

    Ayansola said the family cannot go on with Saheed’s burial, when, Oyedeji, the deceased’s guardian is remanded in prison on frame up charges.

    Moshood Olanrewaju, a relative of Saheed said: “We went to the Lagos State House of Assembly and they told us that something will be done. But I’m surprised that it is the same day that they assured us that Oyedeji was reprimanded at the Ikoyi prison. “These people (the late Saheed and Oyedeji) are not smugglers. Oyedeji’s parents are farmers. It was through him that Saheed came to Lagos. If he was a bad element, people in the area will not troop out to say they want to protest his arrest,” he said.

    An Okada rider, who witnessed the Incident, said: “As the custom officers were speeding towards our bus-stop with a truck of rice tied to their vehicle, some armed hoodlums blocked them and detached the truck from their vehicle, offloaded the rice and took the rice away. They were only dragging then but didn’t shoot. One of the customs also wanted to climb the vehicle and spray people around but their boss cautioned him not to shoot. But he refused and shot in the air. They called another patrol which joined them there and started spraying anybody. They didn’t even care at all. The man (Saheed) killed was shot while riding motorcycle. When they found out he had died, two patrols fled. As we tried to tell them they had killed someone, they faced us again with gun shots, so we fled. By the time we got to the junction, the police had arrived but the customs threatened to deal with them if they meddled in their affairs. The policemen had to advice us to go back to avoid multiple deaths.”

    NCS) Federal Operations Unit, Zone ‘A’ Area Controller Umar Mohammed Dahiru alleged that Oyedeji incited a mob who were armed with various dangerous weapons to attack its officers, which resulted to a shootout between the officers and the smugglers.

    Police spokesperson Dolapo Badmos, a Superintendent (SP) said: “Some Custom officers were on the trail of a vehicle, in the process they went started shooting. One passerby was shot to death around Ajegunle in Alakuko. A patrol team led by the Divisional Police Officer of Alakuko Division, moved to the area to douse the tension. They (Customs officers) fired sporadically and escaped from the scene. The dead body was evacuated to morgue. Investigation is ongoing.”

  • Customs unravel new smuggling methods 

    Customs unravel new smuggling methods 

    OnTuesday 18 October, 2016, the Comptroller of the Oyo/Osun Command of the Nigeria Customs Service(NCS), Mr. Temitope Ogunkua, made some startling revelations on the operations of some Nigerian importers who are bent on breaking the laws of the land in order to cut corners and maximise profit. Oseheye Okwuofu, who witnessed the event in Ibadan, reports.

    Most of the people who gathered at the parade were not surprised to see the crude methods now being employed by some fraudulent Nigerians to conceal smuggled goods into the country from neighbouring countries. With the propensity at which smugglers fret banned products into Nigerian markets, many few people were shocked that such practices are now in vogue.

    “We say these goods are banned, yet you go into the markets and you find them all over the place. So, it is obvious that some sharp practices are being employed to get them into the country,” one of those present at the parade said. Expectedly, many concerned citizens and other stakeholders gathered at the headquarters of the Oyo/Osun command of the Nigeria Customs to witness the showcasing of the seized goods.

    One of the amazing cases shown by the Controller was the manner in which bags of rice were concealed in a commercial bus. A huge hole was carefully created in the bus and bags of rice were loaded deep down after which several tubers of yam were loaded atop to create the impression that only yams were carried in the vehicle.

    About five commercial buses were loaded same way. But nemesis has its way of foiling such trickery. Thus, eagle -eyed customs officers intercepted the buses. According to the Controller, over ten thousand bags of rice were seized in the last nine months within Oyo and Osun states axis. Arrested suspects, he said, were being investigated while others have been arraigned in court for prosecution.

    He called for public support in the fight against smuggling; just as he warned importers against the evils associated with smuggling. The effects of these nefarious activities on nation’s economy, he explained, are very devastating. According to the Customs boss, many local producers are being strangulated by the activities of smugglers. .

    He said unless Nigerians stop smuggling, the country would continue to experience economic down turn. Also paraded were various exotic cars smuggled into the country through different land borders with no duty paid. He cited many benefits of the ban on rice  imports through land borders, noting  that government has not placed total ban on rice import.

    “For instance, anybody is free to import rice through the ports once he’s going to pay for import duties on the products,”he explained.

    The command, he said generated a sum of N11.1billion between the months of January and September this year as excise duties from companies within the command . Ogunkua also disclosed that one hundred and eighty-eight assorted seizures were made with a duty value of three hundred and sixty-eight million, six hundred and thirty-seven thousand, seven hundred and eighty-eight naira, three kobo (N368,637,788.03) within the period under review.

    The Area Controller hinted  that his leadership would continue to deal decisively with the economic saboteurs and work for the security wellbeing of the nation. He said, “In the face of challenging economic situation in the nation, the Nigeria Customs Service (NCS), has stepped up its operation by blocking all revenue leakages in order to collect maximum duty accruable to the Federal Government.

    “This has led to the arrest of various assorted, luxury vehicles smuggled into the country through unapproved border routes. Ogunkua maintained that despite the various campaigns against smuggling, some elements are still smuggling various assorted items into the country.

    “It is disheartening to note that despite the arrest and seizure of about ten thousand bags of rice between the months of January to September 2016, the smugglers have continued their nefarious activities daring the Federal Government ban on the importation of the rice through the border areas.

    He announced that the command had recently seized one fairly used Honda Crosstour, one fairly used lexus Rx 300 and Rx 450, one fairly used Honda CRV, one fairly used Mazda 626 and one used Volkwagon bus.

    Others included fairly used Mitsubishi outlander, one fairly used Toyota carina E, one fairly used Toyota prius, one fairly used Toyota Avalon, two fairly used Toyota Previa, five fairly used Toyota buses with Rice,and one fairly used Toyota picnic loaded with Rice.

    He said the above items were seized at different locations within the command coverage. Present at the event were top ranking customs officers, journalists, and other security agencies.

  • Customs impounds 2,062 cartons of turkey, N46m rice

    Customs impounds 2,062 cartons of turkey, N46m rice

    FROZEN poultry products and bags of rice illegally imported were seized yesterday after officials of the Nigeria Customs Service (NCS) intercepted two trucks and raided some warehouses in Lagos.

    The items – 2,026 cartons of imported frozen poultry products and 5,500 bags of rice were evacuated NCS facility. They were estimated at N4 million.

    The seizures were made by the Comptroller-General (CGC) Compliance Team operating in the Southwest.

    Speaking with The Nation in Ikeja, the Zonal Commander of the team, Bello Hassan, a Chief Superintendent of Customs, said the operations were carried out based on the instruction of the National Coordinator, Assistant-Comptroller Musa Jalo.

    Bello said that the two Mercedes Benz trucks, marked KRD 332 XM and FB 725 APP, used by the smugglers in conveying the poultry products have been deposited at the government warehouse, Ikeja.

    He put the Duty Paid Value of the seized frozen turkey at N11, 134,800.

    The vehicles, he said, were, intercepted along at Ijebu-Ode along Benin-Ore Expressway.

    Bello said the team was able to achieve the feat, based on the zero tolerance and rigorous patrol brought about by the policy trust of the Comptroller-General of Customs, Col Ameed Ali.

    The policy, he said, is yielding positive results.

    “We were able to seize the illegal goods by deploying ourselves to strategic points. We also worked on intelligence report from our operatives. The frozen poultry food seizure was made at along Ijebu-Ode Expressway”, Bello said.

    He identified rice and poultry products as the most smuggled item across the country, assuring that the service would continue to collaborate with patriotic citizens on the effect of smuggling on the economy.

    Bello said that some traders were caught in Lagos while rebagging unwholesome smuggled rice, saying; “this shows that smugglers are only after profits making, they do not care whether people lose their lives after consuming it.

    “They do not care whether our local rice farmers lose their investments, they do not care about national economy or job opportunities for our youths. All they want is money.

    “We are determined to stop this and protect the economy and secure the wellbeing of all Nigerians, no matter the number of people involved in the illegal business.”

    Lamenting the increasing resort to violence by smugglers, Bello warned that the superior fire power of the Service will be turned against them and that the team would not tolerate any act of smuggling.

    Violators of the law through the importation of contraband in their area of coverage would be arrested and prosecuted.

    He urged smugglers and those aiding them to find legitimate businesses to do.

  • Customs arrests 23, seizes goods worth N1.3b

    Customs arrests 23, seizes goods worth N1.3b

    The Nigeria Customs Service (NCS) arrested 23 suspects and seized rice worth N1.3billion in two months, the Service announced at the weekend.

    The arrest and the seizure were made by the Comptroller-General (CGC) compliance team operating across the country.

    Its Assistant-Comptroller Musa Jalo said the suspects were arrested in various operations by the team.

    The seized items, he said, included 23, 237 bags of rice, 2, 715 jerry cans of vegetable oil, 2. 070 cartons of sphagetti, 5, 676 cartons of frozen poultry products.

    Others are  1, 055 bales of second hand clothes, 4, 491 used tyres, 319 cartons of mosquito coil and 237 used vehicles.

    The seized items, according to him, included rice, vegetable oil, sphaghetti, poultry products, used tyres, used vehicles, second hand clothes and mosquito coil.

    “Two months down the line, our aggressive patrols of creeks, highways and suspected routes used by criminals and smugglers, and strong deployment of intelligence have continued to justify the creation of the team.

    “Within the period under review, we have been able to make a total of 591 assorted seizures across the country, with Duty Paid Value of N1.3billion.

    “It is important to point out that, this is what would have been lost had this team not been created by the CGC because our operation focus on areas of leakages,” he said.

    He said rice was the most smuggled item across the country, assuring that the service would continue to collaborate with patriotic Nigerians on the effect of smuggling on the economy.

    He said some traders were arrested in Lagos for rebagging unwholesome smuggled rice.

    “This shows that smugglers are only after profits making, they do not care whether people lose their lives after consuming it.

    “They do not care whether our local rice farmers lose their investments, they do not care about national economy or job opportunities for our youths. All they want is money.

    “We are determined to stop this and protect the economy and secure the wellbeing of all Nigerians, no matter whose toes we step on in the process,” he said.

    He advised smugglers to find legitimate businesses or spend the rest of their lives in jail.

  • Customs sacks 17 for drug addiction, certificate forgery

    Customs sacks 17 for drug addiction, certificate forgery

    The Nigeria Customs Service (NCS) has dismissed 17 junior officers for drug addiction, certificate forgery, theft and absenteeism, it was learnt.

    NCS spokesman Mr Wale Adeniyi, in a statement yesterday in Abuja, said two others also had their appointments terminated for absenteeism, while one was retired for drug addiction.

    “Seventeen junior officers of the NCS have been dismissed from service for drug addiction, certificate forgery, theft and absence from duty from Jan. to Sept. 2016.

    “Investigations into offences committed by the officers in the senior category are being concluded, officers found guilty are expected to face stiff penalties.

    “These disciplinary measures were taken after a series of investigations and deliberations by the disciplinary committee, and recommendations were made to the management,” Adeniyi said.

    He said the process was a continuation of the reform agenda that the Comptroller-General, retired Col. Hameed Ali, promised upon his assumption of office.

  • Customs arrests 14

    Customs arrests 14

    • Rice, others seized

    The Nigeria Customs Service (NCS), Federal Operations Unit, Zone ‘A’ Ikeja, Lagos has arrested 14 suspected smugglers and seized 2,513 50kg bags of rice and 3,778 cartons of imported frozen poultry products.

    Its Area Controller, Umar Mohammed Dahiru, said officers of the unit also recovered unpaid duties of N30,154,174.75 from vehicles and other goods on which their owners made false declaration and undervalued.

    Other items seized by the unit included 528 kegs of vegetable oil valued at  N4,711,500; seven different types of vehicles worth N14,310,000 and other items which included new and used textiles material, shoes, bags, used tyres, mosquito insecticide, soaps, compressors and Bonita spaghetti worth N45,789,450.

    The Duty Paid Value (DPV) of all items seized in the month of September was put at N131,708,247.

    According to Dahiru, about 98 seizures were recorded by the unit last month.

    Commending the officers for their patriotism, he said the unit  had all it takes to suppress smuggling within his areas of jurisdiction.

    To sustain the tempo, Dahiru directed his operatives to intensify border patrols.

    He warned smugglers to desist from the act because the unit had deployed strategies that would cause them losses.

    He added the suspects would be charged to court after thorough investigation.

    Also, the Customs at the Tin-Can Island Port generated N25.6 billion last month, its Area Controller, Bashar Yusuf, has said.

    He noted that it was possible because of the measures introduced to strengthen their operations, particularly to block leakages.

    Yusuf, apart from involving stakeholders in the training to sanitise the system and change the orientation of those who believe in shortchanging the government, has also engaged his officers in capacity building in modern Customs operations.

    Its Public Relation Officer, Uche Ejesieme told The Nation that the Controller was determined to make the Tin-Can Port a hub, with the entrenchment of due diligence in operations.

    Yusuf also said the place of Customs in national development could not be overemphasised, and pointed out that his Command would not renege on its revenue collection function.

    He called for stronger relations between the Command and stakeholders for the actualisation of its mandate.

    “Beyond the fact that we have regular meetings with the critical stakeholders, I have always given the terminal/sectional heads a marching order to ensure that all importers/and their agents are compelled to comply with the extant laws on international trade,” he said.

    He commended compliant importers and clearing agents for their patriotism, which, he said, contributed immensely to the revenue profile of the Command.

    He said the importers and their agents would continue to receive the support of the Command.

    “We will always make them feel obligated to follow due diligence/process in their transactions,” he said.

  • Furore over proposed merger of FIRS, Customs

    Furore over proposed merger of FIRS, Customs

    The proposed merger of the Nigeria Customs Service with the Federal Inland Revenue Service (FIRS) as recommended by a committee set up by the minister of finance has continued to generate mixed feelings amongst stakeholders with some lauding the initiative as timely and others arguing for a status quo. Ibrahim Apekhade Yusuf in this report examines the issues

    Faced with the reality of dwindling oil receipts due to the fall in global crude oil prices, most oil-producing countries are desperately seeking new streams of income to close the funding gaps.

    Of course, Nigeria, especially since the advent of this administration has considered fresh revenue streams as absolutely inevitable, especially away from oil.

    One avenue it hopes to achieve this objective is by generating revenue from taxes across the board both from the sea ports, land borders, whether in terms of corporate tax, income, Value Added Tax to mention just a few.

    In furtherance of this fundamental objective, the Minister of Finance, Mrs. Kemi Adeosun, had set machinery in motion to empower the Federal Inland Revenue Service (FIRS), which is the organ that generates revenue on behalf of the Federal Government towards delivering on the avowed mandate of ensuring improved revenue yield for the country to meet her obligations.

    Subsequently, the minister had empanelled a National Tax Policy reforms Committee headed by Professor Abiola Sanni on August 10, 2016.

    The Nation gathered that the mandate of the Committee was to advise the Federal Government on how to boost the Internally Generated Revenue among others.

    It is, however, instructive to note that this is not the first time the Federal Government is toying with the idea of tax reforms.

    Investigation by The Nation revealed that the Federal Government had empanelled a Study Group led by Dr. Dotun Philips few years ago to reform the nation’s tax policy.

    Giving insight on the activities of the Study Group, Chief Mark Dike who served as secretary of the Committee under Dr. Philips said the Group at the time made far-reaching recommendations for the efficient service delivery of the tax regime in the country.

    Thankfully, Dike said the Prof. Sanni-led Committee built on the work done by his Study Group.

    The policy, The Nation further gathered was first published in 2012 by the former Minister of Finance and Co-ordinating Minister of the Economy, Dr. Ngozi Okonjo-Iweala, to entrench a robust and efficient tax system in the country.

    Recommendations by Prof. Sanni-led Committee

    The Prof. Sanni-led Committee amongst other reasons stated that the merger of the Nigeria Customs Service with the Federal Inland Revenue Service (FIRS) would help improve administrative efficiency, reduce the cost of revenue collection as well as ensure accountability.

    Part of the recommendations of the Committee, The Nation gathered was to help the country move forward from its current position of 181 out of 189 countries to top 50 in the Ease of Paying Taxes World Report.

    At the end of the committee’s assignment, the draft of the reviewed national tax policy was presented at the committee’s second stakeholders’ engagement in Abuja by the West Africa Tax Leader at PricewaterhouseCoopers, Mr. Taiwo Oyedele.

    Speaking at the event, Oyedele said the committee agreed that the current system was encouraging multiple taxation, tax evasion and wastage.

    While noting that the current revenue generation system by both agencies as inefficient as their functions were duplicative, Oyedele said: “Part of our recommendations will be that the FIRS and the Customs should be merged. But not just them, but all revenue generating agencies at the federal level should be merged into one.

    “What we have right now is not effective because it duplicates the collection mechanism. All the structures you have in the FIRS are replicated in the Customs. So, the cost of collection goes up. It also makes it easier for tax evaders to manipulate the system. You can provide information for the Customs and the FIRS is not aware of it.

    “So if you have one revenue agency, it will flag all the information about a taxpayer when he or she is paying tax. It will also ensure that leakages in the system are reduced. This is why we are recommending merger of the agencies as part of the policy.”

    The Nation was reliably informed that the the Ministerial Committees’ report was due for presentation at the Federal Executive Council meeting last Wednesday but has been put on hold in the interim.

    Feeling the pulse of stakeholders

    Speaking with a cross sections of stakeholders they were noncommittal.

    When The Nation visited some Customs commands in Lagos, most of the officers and men spoke in hushed tones concerning the subject matter of the proposed merger.

    From the body language of most of them, you could tell the new policy initiative is not one they are happy about.

    “The policy is not something we’re comfortable about but whatever decision is reached by the Federal Government on the matter is left for us to carry out,” said one of the staff at the Federal Operations Unit, Ikeja, who asked not to be named because he was not authorised to speak with the press.

    When The Nation enquired about the proposed merger between the FIRS and Customs, the NSC spokesman, Wale Adeniyi said he was not aware of such a move.

    According to him, the customs high command led by Col. Hameed Ali (rtd) was not carried along in the scheme of things.

    “I’m only just hearing about that from you. However, l can say those proposing the merger knows why they are proposing it. I cannot react based on newspaper speculations.”

    His counterpart at the Ministry of Finance, Salihu Saleh, who is Director of Press was said to be in transit to the United States for the World Bank meeting and was yet to respond to emails sent to him as at press time.

    However, speaking with Mr. Wahab Gbadamosi, Head Communications and Liason Department of FIRS, he said the agency led by Mr. Babatunde Fowler, ordinarily cannot react because the FIRS is a parastatal under the Ministry of Finance.

    Support for merger

    Justifying the need for the merger, Dike said: “Most countries of the world have since merged the revenue collecting desk of the Customs with the revenue agencies and we have good examples both within the sub-region and other advanced economies.

    “Within the continent of Africa, l know for a fact that in South Africa, Kenya, Uganda, Rwanda, Ghana, they’ve since merged the revenue collecting arm of customs with the revenue organ of the state.

    “In more advanced countries like the UK and Canada, it’s the same thing. So I strongly support that it should be merged with the FIRS to ensure efficiency in tax collection and revenue generation as the case may be.”

    Eben Akinyemi, a tax consultant, is also on the same page with Dike. According to him, the move to merge both agencies revenue collecting arms as one will ensure efficiency in terms of service delivery and significantly reduce loss of revenue due to underdeclaration and overinvoicing as the case may be.

    Argument against merger

    Expectedly, there have been a welter of criticisms against the proposed merger of the FIRS and Customs, with those against the move citing technicalities in the operations of both bodies.

    In the view of Adebayo Shittu, there is no basis for the merger of NCS and FIRS as the statutory roles and responsibilities of the two government agencies are completely different from each other.

    According to him, “The NCS is a para-military organisation. That is one of the reasons why officers and men of Customs carry arms and ammunitions. As far as I am concern, the Minister of Finance did not get it right in seeking for the merger of the two government agencies.”

    The merger, he insisted,  will lead to the loss of several jobs and add to the high unemployment rate in the country.

    He argued that on the surface, the idea of merging both organisations looked desirable but is fraught with danger if the minister succeed in her plans through the Sanni-led NTP committee.

    Echoing similar sentiments, Barr. Olusegun Amao, a maritime lawyer said the country was not yet equipped to run such a policy. While not completely against the move, Amao would rather the government develop the right structures in place for it to work.

    How revenue agencies, customs operate abroad

    Most countries of the world  have customs and excise parastatals as well as agencies that collect revenue on behalf of the Federal Government.

    According to a document obtained on its website, the Canada Revenue Agency, or Agence du revenu du Canada, is the federal agency that collects taxes and administers tax laws for the Canadian government, as well as for many of Canada’s provinces and territories.

    Besides, the agency oversees a variety  of social and economic benefit and incentive programs via the tax system, along with international trade legislation.

  • Customs seizes 117,034 bags of rice

    Customs seizes 117,034 bags of rice

    • Duty paid value N774.2m

    • Govt targets 2017 for rice sufficiency

    The Nigeria Customs Service (NCS), impounded  117,034 (50kg) bags of rice with duty paid value of N774,282,300 in the first three quarters of this year, the Comptroller-General, Col. Hameed Ali (rtd), has said.

    Speaking at a press conference jointly organised with the National Agency for Food and Drug Administration and Control (NAFDAC) in Abuja, Ali said Nigerians were duty bound to reawaken their national pride and collectively reject the insults of what importers are feeding Nigerians with.

    He said with the support of patriotic Nigerians, the country will not only achieve national sufficiency in rice next year, but will be in a position to ban its importation in the years ahead.

    Ali  questioned the rationale of wasting  scarce foreign exchange (forex) on items that could be produced locally especially at this time of recession.

    He raised the question whether Nigeria should continue to tolerate its neighbors being used as staging post to sabotage her economy, insisting that the nation’s economic revival will revolve around ongoing efforts to support local production of rice to enhance food security.

    The Customs chief said market intelligence indicated a fierce price war between imported and local rice, adding that available  information suggests increasing preference for local rice over smuggled ones. He said at this harvesting period, the best Nigeria could do is to support the local farmers to make their products more competitive.

    Ali said: “In the recent past, our collective intelligence was assaulted with dubious claims of Rice Sufficiency Gaps. Arbitrary quotas were used, more for political patronage to dump imported rice on us without the payment of correct charges.

    “Our credible intelligence indicates that the promoters of this economic subterfuge are at work again. Their plan is to seek a re- introduction of the quota system to import 1.5 million metric tons through the entry points.

    “We are aware of their plans and we shall be waiting for them. This year, many state governments have injected massive investment in local production. The Federal Government, through interventions by Central Bank of Nigeria (CBN) and the Bank of Industry (BoI), are also investing to give momentum to the rice revolution that is progressing smoothly, he stated.

    Ali said Kebbi State harvested over 700,000 MT of rice this year from irrigation farming, while a further 800,000MT is projected from rain-fed rice farming.

    “With similar projections from other states across the country, this planting season, bumper harvest of rice is expected to debunk the so-called sufficiency gap being trumped up to justify rice quotas. With the support of patriotic Nigerians, we will not only achieve national sufficiency of rice in 2017, but be in a position to clamp a total ban on its importation in the years ahead.

    “This therefore is our call to action; to remind ourselves about the dangers of part patronising smuggled rice. To rally all the supports we can muster for our local producers, and to support this campaign against smuggling of rice into our dear country.”

    According to him, the figures of seizure do not explain the full desperation of rice importer through rice borders, as the seizures had revealed several ingenious but devilish ways of smuggling into the country what is consumed as rice.